System and method for on-line purchasing of goods and services

ABSTRACT

A method of conducting a financial transaction between a purchaser and a vendor of a product, the purchaser and the vendor each having an account held at respective first (A) and second (B) financial institutions. The method requires the provision of at least one vendor database  24  including product-related information, for example regarding the availability and price of a product. A publicly accessible data exchange terminal, typically an automatic teller machine (ATM)  112,  is linked to the vendor database. The system then interrogates the purchaser to obtain transaction-related information via the terminal by requiring the purchaser to indicate a number of transaction options. The terminal is linked to the first financial and second financial institutions to provide access to the purchaser&#39;s and vendor&#39;s accounts. The system then transfers funds electronically between accounts for the value of the transaction. Of course, the first and second financial institutions may be the same financial institution.

BACKGROUND OF THE INVENTION

[0001] This invention relates to a system for conducting a financialtransaction between a purchaser and a vendor of a product, and to amethod of conducting such transactions.

[0002] Efforts by banks to provide customers with improved service andaccess to banking facilities have resulted in an increasingly largenumber of automatic teller machines (ATM's) being installed at shoppingcentres and at banks themselves. The ATM network has consequently grownto cover almost every corner of the country and, at least in urbanareas, an ATM can easily be accessed by a large percentage of thepopulation.

[0003] ATM's are particularly attractive to both banks and customers asthey allow bank customers to perform routine banking transactions atlocations and times that are convenient to the customer. The need forover-the-counter service personnel at banks has also been reduced asmore customers make use of ATM's to withdraw and deposit cash, and toobtain financial statements relating to their bank accounts. Banks havealso benefitted from the increased number of banking transactions thathave occurred as a result of the proliferation of ATM's in thatincreased revenues have been generated as transaction fee.

[0004] While the success of ATM's is undoubted, the services currentlyoffered by ATM's are limited, and the capabilities of ATM's have notbeen fully exploited.

SUMMARY OF THE INVENTION

[0005] According to the invention there is provided a method ofconducting a financial transaction between a purchaser and a vendor of aproduct, the method comprising the steps of:

[0006] providing a computerized banking system comprising a plurality offinancial institutions; each of said plurality of financial institutionscomprising a computer center comprising a plurality of computer basedclient accounts, an electronic data network interconnecting saidcomputer centres; and a plurality of data exchange terminals connectedto the said network;

[0007] providing at least one vendor database including product relatedinformation connected to the said network;

[0008] communicating to the database via the network product relatedinformation regarding a product required by the purchaser and whichinformation is provided by the purchaser via one of said terminals; and

[0009] automatically initiating payment by the purchaser for the productin an amount equal to the value of the transaction.

[0010] According to a preferred embodiment of the invention there isprovided a method of conducting a financial transaction between apurchaser and a vendor of a product, the purchaser and the vendor beingassociated with respective first and second accounts held at respectivefirst and second financial institutions, the method comprising the stepsof:

[0011] providing at least one vendor database including product-relatedinformation;

[0012] linking a data exchange terminal to the at least one vendordatabase;

[0013] obtaining transaction-related information from the purchaser viathe data exchange terminal;

[0014] communicating the transaction-related information to the at leastone vendor database;

[0015] linking the terminal to the first financial institution toprovide access to the first account;

[0016] linking the terminal to the second financial institution toprovide access to the second account; and

[0017] transferring funds electronically between the first and secondaccounts for the value of the transaction.

[0018] The first and second financial institutions may comprise the samefinancial institution.

[0019] The transferring of funds electronically typically may involvedebiting the first account and crediting the second account.

[0020] The method preferably includes the step of obtaining an accesscode from the purchaser to verify authorization of the transaction.

[0021] In one envisaged application, the funds may be transferredelectronically between the first and second accounts in real timeresponse at the conclusion of the transaction.

[0022] Alternatively, the funds may be transferred electronicallybetween the first and second account at a predetermined future time.

[0023] The terminal preferably includes display means, and the methodpreferably includes the step of displaying at least one enquiry menu onthe display means to obtain transaction-related information from thepurchaser.

[0024] The method may include the step of incorporating icons associatedwith options relating to the transaction into the at least one enquirymenu so that the purchaser is able to provide the transaction-relatedinformation by selecting an icon displayed on the display means.

[0025] The method preferably includes the steps of displaying at leastpart of the product-related information on the display means, andupdating the product-related information in real time response or on theoccurrence of a transaction between the purchaser and the vendor.

[0026] Typically, the transaction-related information may include atleast the value of the transaction and details of the first account toor from which funds are to be electronically transferred.

[0027] The method preferably includes any one or more of the steps ofverifying the availability of funds in the first account, theavailability of the vendor product or the qualification of the purchaserto perform the transaction before conclusion of the transaction.

[0028] Conveniently, the method may include the step of printing arecord of the transaction which serves as proof of the transaction.

[0029] The method may also include the step of reading indicator meansat the terminal, the indicator means being configurable by the purchaserto indicate the transaction-related information.

[0030] In the envisaged embodiment, the method may include the step ofincorporating the transaction-related information into a statementissued by the first or second financial institution to the purchaser orvendor.

[0031] According to a second aspect of the invention there is provided asystem for conducting a financial transaction between a purchaser and avendor of products, the system comprising:

[0032] a computerized banking system comprising;

[0033] a plurality of financial institutions;

[0034] each of said plurality of financial institutions comprising acomputer centre comprising a plurality of computer based clientaccounts;

[0035] said computer centres being interconnected by an electronic datanetwork;

[0036] a plurality of data exchange terminals connected to the network;

[0037] at least one vendor database comprising product relatedinformation connected to said network; and

[0038] system software for facilitating communication of product relatedinformation between said plurality of publicly accessible terminals andthe said at least one vendor database and for initiating payment by thepurchaser for products purchased.

[0039] According to a preferred embodiment of this aspect of theinvention there is provided a system for conducting a financialtransaction between a purchaser and vendor of a product, the purchaserand the vendor being associated with respective first and secondaccounts held at respective first and second financial institutions, thesystem comprising:

[0040] a data exchange terminal including data input and output means;

[0041] at least one vendor database including product-relatedinformation;

[0042] communication means for linking the terminal to the at least onevendor database, the first financial institution and the secondfinancial institution; and

[0043] system software for facilitating communication between theterminal, the at least one vendor database, the first financialinstitution and the second financial institution, and for transferringfunds electronically between the first and the second accounts for thevalue of the transaction.

[0044] The first and second financial institution may be the samefinancial institution.

[0045] The data exchange terminal is preferably a bank service terminal,such as an ATM.

[0046] The communication means preferably comprises an ATM network towhich the terminal, the at least one vendor database, and the first andsecond financial institutions are linked to facilitate the communicationtherebetween.

[0047] Conveniently, the system software preferably facilitates thetransfer of funds electronically between the first and second accountsin real time response at the conclusion of the transaction, or at afuture predetermined time.

[0048] The terminal, the first or second financial institution or the atleast one vendor database may have storage means for storing theproduct-related information, at least part of the system software ortransaction records, and wherein the product-related information or thetransaction records are accessible at the publicly accessible terminal.

[0049] The system may include a portable storage device adapted to storeproduct-related information and/or at least part of the system softwareand/or transaction records.

[0050] The portable storage means preferably comprises a smart card.

[0051] The product-related information is preferably accessible via thedata output means of the terminal and may be updatable in real time oron the occurrence of a transaction between the purchaser and the vendor.

[0052] The data output means of the terminal preferably includes ascreen, and the system software includes menu drivers for producingenquiry menus on the screen using which the purchaser providestransaction-related information via the data input means of the terminalto the system.

[0053] The enquiry menus may include icons associated with transactionoptions, and the purchaser is preferably able to select a transactionoption by selecting an icon using the data input means.

[0054] The communication means may include conventional telephone linesand interface means for allowing the at least one vendor database tocommunicate with the terminal, utilizing established ATM messageprotocols.

[0055] Typically, the terminal may include printing means for issuing arecord of the transaction or a voucher which serves as proof of thetransaction.

[0056] In a preferred embodiment, the data input means of the terminalmay include a reader for reading an indicator means configured by thepurchaser to indicate transaction-related information.

[0057] The reader preferably comprises an optical reading device, andthe indicator means comprises a card configurable to visually indicatethe transaction-related information.

[0058] The invention also includes within its scope a system forconducting a financial transaction between a purchaser and a vendor ofproducts, the system comprising an electronic data network includingbank service terminals for use by a purchaser; at least one vendordatabase comprising product related information connected to thenetwork; and system software for facilitating communication of productrelated information between said terminals and the said at least onevendor database and for initiating payment by the purchaser for productspurchased.

BRIEF DESCRIPTION OF THE DRAWINGS

[0059]FIG. 1 is a schematic illustration of a transaction systemaccording to the invention for conducting a transaction between a vendorand a purchaser;

[0060]FIG. 2 is a schematic illustration of a vendor database providedby a vendor and which constitutes part of the transaction system of FIG.1;

[0061]FIG. 3 is a schematic illustration of a data processing system ata computer centre of a bank, the data processing system forming part ofthe transaction system of FIG. 1;

[0062]FIG. 4 is a schematic illustration of an ATM interchange whichforms part of the transaction system of FIG. 1;

[0063]FIG. 5 is a schematic illustration of components of an ATM whichconstitute part of the transaction system of FIG. 1;

[0064] FIGS. 6(a) to (c) are flow diagrams depicting interrogation andverification procedures incorporated in system software of thetransaction system of FIG. 1;

[0065]FIG. 7 is an illustration of a basic function enquiry screen whichis displayed on the ATM depicted in FIG. 5;

[0066]FIG. 8 is an illustration of an account enquiry screen which isdisplayed on the ATM;

[0067]FIG. 9 is an illustration of a product main menu screen which isdisplayed on the ATM;

[0068] FIGS. 10(a) to (h) show a series of screens displaying menus forexercising transaction options for a betting transaction;

[0069]FIG. 10(i) shows a voucher or transaction record that is producedby the ATM at the conclusion of the transaction of FIGS. 10(a) to (h);

[0070] FIGS. 11(a) to (h) show a series of screens displaying menus forexercising transaction options relating to a share purchase transaction;

[0071]FIG. 11 (i) shows a voucher or transaction record that is producedby the ATM at the conclusion of the transaction of FIGS. 11(a) to (h);

[0072] FIGS. 12(a) to (h) show a series of screens showing menus forexercising transaction options relating to a ticket purchasingtransaction;

[0073]FIG. 12 (i) shows a voucher or transaction record that is producedby the ATM at the conclusion of the transaction of FIGS. 12(a) to (h);

[0074] FIGS. 13(a) to (g) show various examples of product informationscreens that are displayed by the ATM;

[0075]FIG. 14(a) is a flow chart showing the sequence of transactionoptions presented to a purchaser when conducting a betting transactionon the ATM;

[0076]FIG. 14(b) shows a flow chart showing the sequence of transactionoptions presented to a purchaser when performing a share purchasingtransaction;

[0077]FIG. 14(c) shows a flow chart showing the sequence of transactionoptions presented to a purchaser when performing a unit trust purchasetransaction;

[0078]FIG. 14(d) shows a flow chart showing the sequence of transactionoptions presented to a purchaser when performing an entertainment ticketpurchase;

[0079]FIG. 14(e) shows a flow chart showing the sequence of transactionoptions presented to a purchaser when performing a sports event ticketpurchase;

[0080]FIG. 14(f) shows a flow chart showing the sequence of transactionoptions presented to a purchaser when conducting a travel ticketpurchase;

[0081]FIG. 14(g) shows a flow chart showing the sequence of transactionoptions presented to a purchaser when conducting a futures purchasetransaction;

[0082]FIG. 14(h) shows a flow chart showing the sequence of transactionoptions presented to a purchaser when performing an insurance purchasetransaction;

[0083] FIGS. 15(a) & (b) show alternative icon-driven menus;

[0084]FIG. 16(a) is a front view of an ATM modified to receive a datacard;

[0085]FIG. 16(b) shows examples of a number of different data cards; and

[0086]FIG. 17 is a basic block diagram of the transaction systemaccording to the invention.

DESCRIPTION OF EMBODIMENTS

[0087] For the purposes of this specification, the term “data exchangeterminal” shall be taken to include bank service terminals such as anautomatic teller machine (ATM), a so-called self service teller (SST)and a client-activated terminal (CAT).

[0088] As shown in FIG. 17, the invention provides a transaction system10 wherein a vendor data base 124 comprising information relating tovendible products is connected to an electronic data network 120extending between a plurality of financial institutions A, B, C and Dcomprising computer centres 122A, 122B, 122C and 122D respectively. Alsoconnected to the network are a plurality of ATM's 112. The systemfurther comprises system software enabling a user to utilise the ATM 112to purchase a product and the system to initiate payment for thetransaction, for example by sending out an invoice or electronicallytransferring funds from an account of the purchaser to an account of thevendor.

[0089] Turning now to more detailed FIG. 1, a transaction system 10 forconducting a transaction between a vendor and a purchaser comprises oneor more ATM's 12 of a particular bank XYZ. The ATM's 12 of the XYZ bankare linked via communication line 13.1 to a data processing system 14,which includes an ATM controller, located at a computer centre of theXYZ bank. Transactions that are conducted at the ATM 12 by a purchaserwho holds an account at the XYZ bank are communicated directly to thedata processing system 14 via the communication line 13.1. The dataprocessing system 14 of the bank includes data storage means 16, andinterface means 18 for allowing communication of the data processingsystem 14 with an ATM network 20 via a communication link 13.2.

[0090] In the event that a purchaser does not hold an account at the XYZbank, transaction details are communicated via the communication line13.3, or via the data processing system 14 and communication lines 13.1and 13.2, to the ATM network 20 which then relays these details to thecomputer centre of the relevant bank.

[0091] The ATM network 20 includes an ATM switch or interchange 21 andprovides communication between ATM's, point-of-sale (POS) devices, bankbranches, and the computer centres of the banks which are linked intothe network. ATM networks currently operational in South Africa includethe SASWITCH and MULTINET networks. The computer centres 22 of aplurality of other banks A to H are linked to the ATM network 20 via thecommunication link 13.4. The computer centre 22 of each bank is then ofcourse accessible by all branches of that bank either by way of adedicated communication line or via the ATM network 20.

[0092] A vendor database 24 is linked into the transaction system 10 ina number of ways. Firstly, the vendor database 24 is directly linked toat least one ATM 12 via a communication link 13.6. Secondly, the vendordatabase 24 is linked to the data processing system 14 of the XYZ bankvia communication link 13.8, and to the computer centres of other banks22 via a communication link 13.9. Finally, the vendor database 24 mayoptionally be linked to a central vendor controller 25, which serves toconsolidate and control the inputs from a number of vendor databases 24.The central vendor controller 25 is then linked into the ATM network 20via communication link 13.10, or directly into the data processingsystem 14 of the XYZ bank via communication link 13.11.

[0093] An independent vendor product information updating system 26,such as Beltel or Computicket, is linked into the ATM network 20 or thedata processing system 14 via communication links 13.12 and 13.13respectively. Alternatively, the updating system 26 could be linkeddirectly to an ATM. In certain applications, the vendor productinformation updating function may be undertaken by the vendor database24 directly, in which case the updating system 26 would be redundant.Furthermore, the central vending controller 24 could be dispensed with,and a plurality of vendor databases 22 could be linked directly into theATM network 20 or to the data processing system 14 of the XYZ bank.

[0094] The communication links between the various components of thetransaction system 10 are of course bidirectional, and may comprisedirect or dial-up telephone lines, or a dedicated communication line.The various components of the transaction system 10 are each providedwith interface means, which allows a particular component to communicatewith any of the other components of the transaction system 10 usingestablished ATM message protocols.

[0095] The transaction system 10 includes system software whichfacilitates communication between the various components of the system10, and includes menu drivers for producing menus on display means, suchas a cathode ray tube (CRT) incorporated into the ATM. The systemsoftware also includes software for producing and storing transactionrecords, and updating product-related information that is displayed atthe ATM. The system software may be stored in storage means, such as ahard disc, CD ROM, random access memory (RAM) integrated circuit, readonly memory (ROM) integrated circuit or a tape provided at either theATM 12, the data processing system 14 of the computer centre, the ATMnetwork 20, or the vendor database 24. Of course, the entire systemsoftware need not necessarily be stored exclusively at any one of theabove listed locations, in which case the system software would beconfigured to interact and communicate to ensure the desired functioningof the transaction system 10.

[0096] The system software, or part thereof, and transaction-relatedinformation could also be stored on portable storage means which iscarried by a purchaser, and which allows the purchaser to utilise thetransaction system 10. Such portable storage means could be a cardhaving memory means, such as a “smart card”, or a simple 3½″ or 5¼″computer diskette. The purchaser would then insert the portable storagedevice into an appropriate reader provided at the ATM to download thesystem software into the memory of the ATM 12.

[0097] It is also envisaged that a clearing house (not shown) will belinked to, or incorporated into, the transaction system 10, by beinglinked directly into the ATM network 20, or to the data processingsystem 14 at a computer centre of a bank. The clearing house would beaccessed by the transaction system 10 to verify and authorize certaintypes of transactions so as to minimise the occurrence of fraud intransactions performed on the system 10.

[0098]FIG. 2 shows an example of a vendor database 24, which maycomprise a central processing unit (CPU) 27, a communication interface26 which communicates via communication links 13 with the othercomponents of the transactions system 10. A plurality of databases 30are linked to the CPU 27 via a data base controller 32. The databases 30are typically client, product and fund management databases, to name buta few. The product and client databases 30 are updatable withtransaction-related information received from the ATM at the successfulconclusion of a transaction. The vendor database 24 is linked via acommunication link 34 to an external information source 36 whichprovides information to the vendor database 24 for updating thedatabases 30. A printer 38 and a CRT 40 are also included in the vendordatabase 24.

[0099] Referring to FIG. 3, there is shown the data processing system 14of the computer centre of the XYZ Bank. The data processing system 14comprises a central processing unit (CPU) 42 which is connected bycommunication links 43.1 to 43.4 to external units such as point-of-saledevices, ATM groups and bank branches. The CPU 42 is further connectedto storage means 43 and a number of external databases 44. The CPU 42 isalso connected to the ATM network 20 via the communication link 43.5.Data updating facilities 46 and modus function facilities 48, forperforming functions such as data compression, may also be linked to theCPU 42.

[0100]FIG. 4 shows a more detailed schematic representation of the ATMswitch or interchange 21. The interchange 21 includes a bank interfaceunit 50 for providing communication links 52.1 to 52.5 with variousbanks or bank branches. A point-of-sale (POS) interface allows theinterchanger 21 to communicate via communication links 56.1 and 56.2with various point-of-sale devices. The interchange 21 is also providedwith storage means 58 for storing, for example, a number of databasesand software for controlling the functioning of the interchange 21.Finally, a general purpose ATM interface 60 allows a number of otherunits to be connected and fed into the interchange 21, such as thevendor database 24 and the vendor product information updating system26.

[0101] In FIG. 5, the basic components of an automatic teller machine(ATM) 12 are schematically depicted. A CPU 62 is connected to displaymeans in the form of a CRT 64, first input means in the form of anumeric keypad or touch screen 66, second input means in the form of acard reader 68 which may be a magnetic or optical card reader, a printer70, and third input means 72 which may be a disk drive or CD-ROM reader.A communications interface 74, which may for example be a dial-up modemor a dedicated tie-line interface, connects the ATM 12 to the dataprocessing system 14 of a bank, or to an ATM network 20. The ATM 12 mayfurthermore include storage means in the form of a hard disc 76, or arandom-access-memory (RAM) integrated circuit 78. The storage meanspreferably stores at least part of the system software, and in apreferred embodiment, stores menu drivers for generating menus on theCRT 64 so as to allow a purchaser to perform a transaction at the ATM12. The ATM 12 may also be provided with back-up storage means 80.

[0102] The function of the transaction system 10 will now be describedwith reference to FIGS. 6(a) to FIG. 16(b). The primary function of thetransaction system 10 is to allow an ATM purchaser to perform atransaction, be it a financial or information transaction, with a vendorat any ATM which forms part of the transaction system 10. Suchtransactions could include placing a bet on a horse race via atotaliser, purchasing shares through a stock broker, purchasing unittrusts, buying tickets for the theatre or a motion picture performance,buying tickets for a sports event, buying travel tickets, purchasingfutures options, purchasing insurance and purchasing lottery tickets orother indicia.

[0103] To enable an ATM purchaser to conduct a transaction, the systemsoftware, which may be stored on any one or more of the components ofthe transaction system 10, includes menu drivers for producing enquirymenus through which the purchaser is systematically interrogatedregarding various transaction options so as to allow the transactionsystem 10 to glean the transaction-related information from thepurchaser required to perform the transaction. The transaction-relatedinformation is then transmitted to the vendor database, which thenstores this information so that the vendor database has knowledge andrecords of the transaction.

[0104] The implementation of the enquiry menus can be achieved in anumber of ways which are discussed below.

[0105] Irrespective of the menu format, the interrogation andverification procedures embodied in the system software remain the same.Examples of interrogation and verification procedures that could beembodied in the system software are graphically illustrated by the flowcharts of FIGS. 6(a) to FIGS. 6(c). The interrogation and verificationprocedure illustrated in FIG. 6(a) commences with a transactioninitiation request which requires the purchaser to insert his or her ATMcard into the card reader 68 of the ATM. Once the card has been insertedinto the slot, the transaction system 10 will confirm that thetransaction is authorized by requesting the purchaser to enter an accesscode, or personal identification number (PIN). Once the PIN has beenverified, the purchaser is requested to select a service to be accessed.The purchaser then completes a selection procedure which involveschoosing between a predetermined number of transaction options. Afterthe selection of at least some of the transaction options, the systemsoftware will perform a number of checks to determine whether theselection is valid before proceeding to present further transactionoptions. Once the various transaction options of a transaction have beenselected the transaction will be confirmed, the transaction-relatedinformation will be transmitted to the vendor database for updatingpurposes and the purchaser is free to perform a further transaction ifrequired.

[0106] FIGS. 6(b) and FIGS. 6(c) illustrate examples of procedures thatfall under the “SELECTION VALID?” procedure which is shown in FIG. 6(a).This “SELECTION VALID?” procedure involves conducting checks to ensurethat the transaction options selected by a purchaser are valid and canbe fulfilled. For example, FIG. 6(b) shows a check procedure conductedby the system software when a purchaser specifies a certain transactionvalue. The check procedure will then proceed to verify that an accountselected by the purchaser from which funds are to be transferred in factcontains sufficient funds for the completion of the transaction. Shouldthe selected account, for example a current account, not have sufficientfunds, the purchaser may then optionally select another account, such asa credit card account, from which the funds should be transferred.Should it transpire that the purchaser possesses insufficient funds inhis or her accounts to complete the transaction, the system softwarewill abort the interrogation verification procedure.

[0107]FIG. 6(c) shows a check procedure conducted by the system softwareto ensure that a product which forms the subject of a transaction is infact available. For example, when purchasing tickets for a theatre orsports event, the seats that the purchaser wishes to book may alreadyhave been sold to a customer via another ATM, or for example byComputicket. Alternatively the stocks of a certain product may have beendepleted, or the response time for a contract may have expired, in whichcase the product will not be available. In these scenarios, the systemsoftware will either ask the purchaser to exercise an alternatetransaction option, or will abort the interrogation and verificationprocedure depicted in FIG. 6(a).

[0108] Information as to whether a product is available is supplied tothe system software via the vendor product information updating system26 shown in FIG. 1, or by the vendor database 24 itself.

[0109] It is also envisaged that the “SELECTION VALID?” procedure mayinclude other check procedures which, for example, may prohibit apurchaser from performing a certain transaction if he or she is below acertain age, or is disqualified on some other around from performing thetransaction. A purchaser under the age of 21 can in this way beprohibited by a check procedure from purchasing shares from a vendordatabase 24 linked to a Stock Exchange. This check procedure can also beused to prevent the sale of motion picture tickets for an age-restrictedmotion picture to an under-aged purchaser.

[0110] If it transpires that a purchaser does not have sufficient fundsin any of his or her accounts, the purchaser may be given the option ofobtaining credit facilities. To establish whether the purchaserqualifies for credit facilities, and if so, the value of creditfacilities, the system software may perform a credit evaluation byanalysing data obtained from the purchaser's financial institution,credit organisations or a vendor database. The credit facilities arethen given to the purchaser either by extending the credit limit on anexisting account held by the purchaser, or by opening a new account,having credit facilities, in the name of the purchaser.

[0111] The interrogation procedures embodied in the system software arerealised through menu drivers incorporated into the system software andwhich produce a plurality of menus, which are displayed on the CRT orscreen 64 of an ATM. The system software incorporating the menu driversis preferably stored on the hard drive 76 of an ATM, but couldalternatively be stored in any of the other components of thetransaction system 10, such as the ATM interchange or the vendordatabase 24.

[0112] A number of the menus produced by the system software will now bedescribed merely for illustrative purposes. The first two menusgenerated by the system are standard menus that currently appear on anumber of ATM's, the first menu inviting a purchaser to insert amagnetic-strip card into the card reader 68 of the ATM. Once apurchaser's card has been read by the card reader 68, a second menu willrequest the purchaser to enter his or her personal identification number(PIN). Optionally, the purchaser may requested to enter a second accessto increase the security of the system. Assuming that access is grantedto the purchaser, the menu shown in FIG. 7 will appear on the ATM screen64. This menu basically corresponds to menus that currently areavailable on ATM's, but differs in that an extra option is provided,namely the “PRODUCTS” option which is shaded. If only one type ofproduct transaction can be conducted from the ATM 12, the “PRODUCTS”option may be replaced by a more specific product option, such as forexample “SHARES”, which option will allow the purchaser to purchase onlyshares.

[0113] Once the purchaser has indicated that he wishes to utilise the“PRODUCTS” option by pressing a key 82 corresponding to this option, themenu illustrated in FIG. 8 will appear. The purchaser must then selectan account from which funds are to be transferred to perform thetransaction. Having selected an account, the product main menu shown inFIG. 9 will be presented to the purchaser. The product main menuprovides the purchaser with a selection of products that can bepurchased from a vendor database 24 via the transaction system 10 at theATM 12. In the illustrated example, the purchaser is presented with theoption of purchasing shares, unit trusts, entertainment tickets, futurescontracts, or placing a bet at a totaliser.

[0114] By way of example, the transaction options presented by menus forplacing a bet with a totaliser are shown in FIGS. 10(a) to (h). As isapparent from the illustrated menus, the purchaser can exercise optionsregarding the following criteria:

[0115] 1. The province in which the race is to be run;

[0116] 2. The number of the race;

[0117] 3. The value of the bet to be placed on the race;

[0118] 4. The type of bet to be placed; and

[0119] 5. The number of the horse the purchaser wishes to back.

[0120]FIG. 10(h) shows a confirmatory screen which in the purchaser'svarious selections and the transaction-related information is confirmed.At this stage the purchaser may revise or edit any of the transactionoptions, cancel the transaction or accept and confirm the selection ofoptions.

[0121]FIG. 10(i) shows a print-out which is generated by the printer 70of an ATM, and which acts as a voucher or transaction statement, andserves as proof of the transaction. The transaction-related informationis also incorporated into a bank statement issued by the bank to thepurchaser so that the purchaser is provided with a record oftransactions conduct at the end of each month.

[0122] Once a transaction has been completed, the system software hasthe ability to debit and credit the respective accounts of the purchaserand the vendor to reflect the value that has changed hands in the courseof the transaction. In this way, the vendor is spared the effort ofsending an account to the purchaser, and waiting payment in response tothe account, as is the case with known “computer-shopping” systems. Forexample, the statement shown in FIG. 10(i) shows that the purchaser hasgained winnings of R6412.00, and the system software will thusautomatically credit the purchaser's account with this amount, whiledebiting the vendor's account for the same value.

[0123] By way of a further example, the menus for exercising optionsrelating to a share purchasing transaction are shown in FIGS. 11(a) toFIGS. 11(h). Having selected the “SHARES” option on the product mainmenu, the purchaser will then be required to select a share type, suchas “MINING”. The purchaser is then presented with the various categoriesof mining shares, before being presented with options relating tospecific mines. The purchaser can then opt to either buy or sell acertain number of shares or a certain value of shares by the menusillustrated in FIG. 11(e) and (f). The purchaser can then select abroking firm through which the transaction is to be processed, and abank account from which the relevant funds are to be transferred. Aswith the previous example, the printer 70 of the ATM 12 will thenproduce a statement, such as that indicated in FIG. 11(i), which servesas proof of the transaction.

[0124] The menus for providing the options relating to a ticketpurchasing transaction are illustrated in FIG. 12(a) to FIG. 12(h), anda voucher produced by the ATM at the conclusion of the transaction isillustrated in FIG. 12(i). The system software may be configured toidentify venues within a predetermined proximity to the relevant ATM,and only to provide tickets available at such venues to improve theuser-friendliness of the system.

[0125]FIG. 13(a) to FIG. 13(g) illustrates selected examples of productinformation screens that can be presented to purchasers during thecourse of exercising transaction options on various menus. These productinformation screens may glean the information display thereby from thevendor product information updating system 26, or a vendor database 24.Furthermore, the system software may update this product-relatedinformation in real time or merely when a particular product informationscreen is required to be displayed at an ATM. The product informationscreens may perform a number of functions, including providing thepurchaser with information useful or essential to performing thetransaction, such as the history of a share or a particular horse, orthe seat locations on an aircraft or in a theatre or stadium. Theproduct information screens may also provide the purchaser with asummary of his or her share portfolio prior to buying or selling shares,or a summary of transactions conduct by the purchaser on the system 10over a predetermined period of time. Of course, the illustrated examplesare merely a selection of product information screens that could beproduced to assist the purchaser in performing a transaction.

[0126] The purchaser is also provided with the option of obtaining ahard copy of the information displayed on any product informationscreen, and is able to perform a “screen-dump” or print instruction tothe ATM printer.

[0127] The system software also includes driver's for producing a numberof help screens which provide the purchaser with instructions regardnavigation through the system software, and the procedures for selectingtransaction options.

[0128] The system software also includes a number of message interruptprocedures whereby the purchaser can be provided with information havinga bearing on the successful completion of the transaction, regardless ofthe menu displayed on the screen. For example, if the ATM network wereto fail while the purchaser is inputting transaction options via a menu,an interrupt procedure will display the message “Networkfailure—transaction aborted” in a window that is superimposed over thecurrent menu.

[0129]FIG. 14(a) to FIG. 14(h) show flow charts illustrating thesequence of transaction options which are presented in menu format to apurchaser performing a transaction. Again merely for illustrativepurposes, the transaction options for placing a bet, purchasing a share,purchasing a unit trust, purchasing an entertainment ticket, purchasinga travel ticket, purchasing a futures contract or purchasing aninsurance policy are shown.

[0130] As an alternative to the menus shown in the previous examples,wherein selections are made by pressing physical keys located along theperiphery of a screen, FIG. 15(a) and FIG. 15(b) show examples oficon-driven menus which may be used to exercise transaction options. Itis envisaged that the screens of current ATM could be replaced byso-called “touch screens” which allow a purchaser simply to touch anappropriate icon displayed on the screen. The screen then senses thelocation of contact between a purchaser's finger and the screen, and inthis way will determine the menu selection made by a purchaser.Icon-driven menus may be particularly attractive to encourageunsophisticated persons to perform transactions using the transactionsystem 10, as the various options can be displayed in a simple andeasily understandable manner.

[0131] An alternative method by which a purchaser can exercisetransaction options is shown in FIGS. 16(a) and (b). The ATM depicted inFIG. 16(a) is provided with an additional optical card reading device72, which is intended to receive one of the cards illustrated in FIG.16(b). To exercise various options relating to a transaction, thepurchaser simply marks the appropriate blocks on a transaction card 74,which is then fed into the optical card reading device 72. The selectedtransaction options are then displayed on the screen of the ATM. Afterconfirmation of these options, the transaction system 10 will proceed toprocess the transaction, and debit and credit the necessary accounts.Before dispensing a transaction card 74, the card reading device 72 willalso mark the card, by either punching a hole or printing an appropriateindicium of the card. A card so marked is then regard as proof ofconclusion of the transaction between the relevant vendor and purchaser.

[0132] It is envisaged that the banks, vendors, updating systemoperators and ATM network operators will be able to derive either director indirect benefits from the installation of the transaction processingsystem 10. For example, the banks will benefit from increased use ofATM's and banking services. Furthermore, by charging a transaction feeon each transaction performed on the transaction system 10, the bankswill be able to generate substantial fees. The ATM network operators,such as Saswitch or Multinet, will additionally be able to charge aservice fee for each transaction performed, and in this way generaterevenue. Finally, the vendors will benefit from increased trading andsales that are performed on the transaction system 10, and may alsocharge a service fee for each transaction that utilizes their vendordatabase 24.

[0133] The various service and transaction fees are credited directly tothe accounts of the various service providers on conclusion of aparticular transaction.

[0134] While “home shopping” via computers is known, the problem withsuch systems is that a large percentage of the population do not haveaccess to personal computers on which purchases can be made in this way.The widespread distribution of ATM's throughout South Africa has theresult that ATM's are accessible to a large percentage of thepopulation, particularly in urban areas. It is envisaged that, throughthe transaction processing system 10, a large percentage of thepopulation will have access to the convenience and speed of purchasingproducts via a computer. ATM's included in the system 10 also allowpurchasers to conduct transaction at any time of the day or nightwithout the need for carrying or producing cash. Finally, the system 10can be implemented using current ATM's and ATM networks, and will notrequire a large capital layout.

1. A method of conducting a financial transaction between a purchaserand a vendor of a product, the method comprising the steps of: providinga computerized banking system comprising a plurality of financialinstitutions; each of said plurality of financial institutionscomprising a computer centre comprising a plurality of computer basedclient accounts, an electronic data network interconnecting saidcomputer centres; and a plurality of data exchange terminals connectedto the said network; providing at least one vendor database includingproduct related information connected to the said network; communicatingto the database via the network product related information regarding aproduct required by the purchaser and which information is provided bythe purchaser via one of said terminals; and initiating payment by thepurchaser for the product in an amount equal to the value of thetransaction.
 2. A method of conducting a financial transaction between apurchaser and a vendor of a product, the purchaser and the vendor beingassociated with respective first and second accounts held at respectivefirst and second financial institutions, the method comprising the stepsof: providing at least one vendor database including product-relatedinformation; linking a data exchange terminal to the at least one vendordatabase; obtaining transaction-related information from the purchaservia the terminal; communicating the transaction-related information tothe vendor database; linking the terminal to the first financialinstitution to provide access to the first account; linking the terminalto the second financial institution to provide access to the secondaccount; and transferring funds electronically between the first andsecond accounts for the value of the transaction.
 3. A method accordingto claim 2 wherein the first and second financial institutions comprisethe same financial institution.
 4. A method according to claim 2 whereinthe transferring of funds electronically involves debiting the firstaccount and crediting the second account.
 5. A method according to claim2 including the step of obtaining an access code from the purchaser toverify authorization of the transaction.
 6. A method according to claim2 wherein the funds are transferred electronically between the first andsecond accounts in real time response at the conclusion of thetransaction.
 7. A method according to claim 2 wherein the funds aretransferred electronically between the first and second account at apredetermined future time.
 8. A method according to claim 1 or claim 2wherein the terminal includes display means, and the method includes thestep of displaying at least one enquiry menu on the display means toobtain transaction-related information from the purchaser.
 9. A methodaccording to claim 7 including the step of incorporating iconsassociated with options relating to the transaction into the at leastone enquiry menu so that the purchaser is able to provide thetransaction-related information by selecting an icon displayed on thedisplay means.
 10. A method according to claim 7 or claim 8 includingthe steps of displaying at least part of the product-related informationof the display means, and updating the product-related information inreal time response or on the occurrence of a transaction between thepurchaser and the vendor.
 11. A method according to claim 2 wherein thetransaction-related information includes at least product identificationinformation, the value of the transaction and details of the firstaccount to or from which funds are to be electronically transferred. 12.A method according to claim 2 including any one or more of the steps ofverifying the availability of funds in the first account, theavailability of the vendor product or the qualification of the purchaserto perform the transaction before conclusion of the transaction.
 13. Amethod according to claim 2 including the step of printing a record ofthe transaction which serves as proof of the transaction.
 14. A methodaccording to claim 2 including the step of reading indicator means atthe terminal, the indicator means being configurable by the purchaser toindicate the transaction-related information.
 15. A method according toclaim 2 including the step of incorporating the transaction-relatedinformation into a statement issued by the first or second financialinstitution to the purchaser or vendor.
 16. A system for conducting afinancial transaction between a purchaser and a vendor of products, thesystem comprising: a computerized banking system comprising; a pluralityof financial institutions; each of said plurality of financialinstitutions comprising a computer centre comprising a plurality ofcomputer based client accounts; said computer centres beinginterconnected by an electronic data network; a plurality of dataexchange terminals connected to the network; at least one vendordatabase comprising product related information connected to saidnetwork; and system software for facilitating communication of productrelated information between said plurality of publicly accessibleterminals and the said at least one vendor database and for initiatingpayment by the purchaser for products purchased.
 17. A system forconducting a financial transaction between a purchaser and vendor of aproduct, the purchaser and the vendor being associated with respectivefirst and second accounts held at respective first and second financialinstitutions, the system comprising a data exchange terminal includingdata input and output means; at least one vendor database includingproduct-related information; communication means for linking theterminal to the at least one vendor database, the first financialinstitution and the second financial institution; and system softwarefor facilitating communication between the terminal, the at least onevendor database, the first financial institution and the secondfinancial institution, and for transferring funds electronically betweenthe first and the second accounts for the value of the transaction. 18.A system according to claim 17 wherein the first and second financialinstitution are the same financial institution.
 19. A system accordingto claim 16 or claim 17 wherein the data exchange terminal is a bankservice terminal.
 20. A system according to claim 17 wherein thecommunication means comprises an ATM network to which the data exchangeterminal, the at least one vendor database, and the first and secondfinancial institutions are linked to facilitate the communicationtherebetween.
 21. A system according to claim 17 wherein the systemsoftware facilitates the transfer of funds electronically between thefirst and second accounts in real time response at the conclusion of thetransaction, or at a future predetermined time.
 22. A system accordingto claim 17 wherein the terminal, the first or second financialinstitution or the at least one vendor database have storage means forstoring the product-related information, at least part of the systemsoftware or transaction records, and wherein the product-relatedinformation or the transaction records are accessible at the dataexchange terminal.
 23. A system according to claim 17 including aportable storage device adapted to store product-related informationand/or at least part of the system software and/or transaction records.24. A system according to claim 23 wherein the portable storage meanscomprises a smart card.
 25. A system according to claim 24 wherein theproduct-related information is accessible via a data output means of thedata exchange terminal and is updatable in real time or on theoccurrence of a transaction between the purchaser and the vendor.
 26. Asystem according to claim 17 wherein the data output means of the dataexchange terminal includes a screen, and the system software includesmenu drivers for producing enquiry menus on the screen using which thepurchaser provides transaction-related information via the data inputmeans of the data exchange terminal to the system.
 27. A systemaccording to claim 26 wherein the enquiry menus include icons associatedwith transaction options, and the purchaser is able to select atransaction option by selecting an icon using the data input means. 28.A system according to claim 17 wherein the communication means includesconventional telephone lines or dedicated communication lines andinterface means for allowing the at least one vendor database tocommunicate with the data exchange terminal utilizing established ATMmessage protocols.
 29. A system according to claim 16 or claim 17wherein the data exchange terminal includes printing means for issuing arecord of the transaction or a voucher which serves as proof of thetransaction.
 30. A system according to claim 17 wherein the data inputmeans of the data exchange terminal includes a reader for reading anindicator means configured by the purchaser to indicatetransaction-related information.
 31. A system according to claim 30wherein the reader comprises an optical reading device, and theindicator means comprises a card configurable to visually indicate thetransaction-related information.
 32. A system for conducting a financialtransaction between a purchaser and a vendor of products, the systemcomprising an electronic data network including bank service terminalsfor use by a purchaser; at least one vendor database comprising productrelated information connected to the network; and system software forfacilitating communication of product related information between saidterminals and the said at least one vendor database and for initiatingpayment by the purchaser for products purchased.